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2015 (11) TMI 56 - HC - Service TaxService Tax Voluntary Compliance Encouragement Scheme, 2013 (VCES) - inquiry or investigation which is pending - Scope of notices correspondence between assessee and department - goods transport agency service - Notification No. 42/97-ST dated 05.11.1997 - Held that:- Intention of the Legislature appears to have been, undoubtedly, to entice large number of persons into paying the service tax dues with the assurance that, if the terms of the Scheme are complied with, they will not have to pay penalty and interest. This is, undoubtedly, for alluring such persons so that there is an increase in the revenue of the Government. But, at the same time, the Legislature was conscious of the criticism that could be levelled against such a Scheme being in the nature of promotion of dishonesty. It, therefore, felt that the Scheme should be limited to those cases, where there were no proceedings at all pending and where the concerned assessee may have, out of ignorance which is partly contributed to by the revenue in not taking any sort of action against them, not made payments, which they were otherwise liable to pay. This interpretation of ours appears to be inevitable on the clear language of Section 106 read as a whole and in part. In the show-cause notice issued, it is stated that, though the amount was deposited on 31.03.2013, it was when the investigation was pending. A reply was given by the assessee. The reply as such is not before us, but the learned counsel for the appellant would submit that the reply has been faithfully reproduced in the impugned orders. In the impugned orders, there is no reference to the Circular as such. In other words, there is no case set up by the assessee before the authority that the notices issued under Section 14 of the Central Excise Act were of a roving nature. Besides that, as we have already noticed, the notices do specifically refer to the transport service from out of the many services, which the appellant do perform, and the documents are sought with reference to the same. Having regard to the same, we would think that it would be a futile attempt to again remit the matter back to the authority for a de novo consideration. There was no interdiction by this Court against the authority considering the matter. In the circumstances of this case, therefore, noticing that the matter would be a futile exercise, we would decline to undertake the exercise of remitting the matter back. In regard to the payment effected being prior to the Scheme, we would think that, insofar as the payment was effected not as on 01.03.2013, but thereafter, namely, on 31.03.2013; though the express words of Section 107 appear to contemplate payments being made after the Scheme, but, insofar as requirement is that 50 per cent is to be paid prior to 31.12.2013 and the payment effected in this case being of the full amount prior to 31.12.2013, we would think that the appellant’s case cannot be thrown out on that ground. - Decided against assessee.
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